A company has the following cash transactions during the year a Purchases inventory b Issues long term debt c Purchases a building d Sells common stock to investors e Pays an account payable Required Identify whether each item a) Is a cash inflow or outflow b) Should be reported as an operating, in...

A company has the following cash transactions during the year: a. Purchases inventory b. Issues long-term debt

Question:

A company has the following cash transactions during the year:
a. Purchases inventory
b. Issues long-term debt
c. Purchases a building
d. Sells to investors
e. Pays an account payable
Required
Identify whether each item
a) Is a cash inflow or outflow
b) Should be reported as an operating, investing, or financing cash flow.
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...